Capital Flight Laws Revised by Nazi Edict

A new order was issued today by the German government permitting German Jews now residing in Palestine to transfer part of their accounts from German banks to Temple Society, a German bank in Palestine, provided they can prove that they left Germany with small sums and have no means of economic existence in Palestine.

The order, to be known as “Order No. 207,” provides that before the transfer of an account from the bank in Germany is permitted, the applicant must submit a certificate from the German emigration authorities that he left Germany without any funds other than permitted under the existing exchange regulations. He must also submit a certificate from the German Consulate in Palestine stating that he has no income in Palestine.

The government will not permit transfer of any amount exceeding 60,000 marks, unless the transfer is first approved by the Reich Currency Office.

The new order also states that the German government has no objection if the applicant transfers a part of his deposit from German banks to ### as gifts to near relatives. In such cases, the depositor will have to submit proof that the gift is not used as a pretext to evade the paying of the tax on capital taken out of Germany, which is known as the Capital Flight Tax.